Tethys Petroleum Limited: First Quarter 2014 Financial Results

Tethys Petroleum Limited today announced its First Quarter 2014 Financial Results.

Corporate Highlights

• Drilling of a further 3 successful shallow gas exploration wells: AKK17,AKK18 and AKK19. These wells have a predicted test capacity of over 20 million cubic feet (570,000 cubic metres) of gas per day based on nearby similar well results. Further shallow well drilling is planned as well as tie in of these and other wells to increase production of natural gas
• Independent report commissioned on the “Klymene” prospect in Kazakhstan estimated Unrisked Mean Recoverable Oil Resources at over 400 million barrels. The Klymene exploration well is planned for later this year following successful completion of the recently announced SinoHan acquistion
• Completion of the acquisition of a 56% interest in Blocks XIA, XIM and XIN, in eastern Georgia; areas which the Company believes have good potential for both unconventional and conventional oil, with independent estimates giving some 1.8 billion barrels oil equivalent of Unrisked Mean Recoverable Resources to Tethys’ interest
• Selection of seismic contractor for the next phase of the geophysical acquisition on the Bokhtar PSC in Tajikistan by the joint Tethys/TOTAL/CNPC joint operating company BOC
• Successful capital raise of USD15 million completed in May, 2014

Financial Highlights

• Loss for the period from continuing operations reduced 6% year-on-year  to USD 4.4 million (Q1 2013: USD4.7 million)
• Basic & diluted loss per share of USD0.01 cent from continuing operations (Q1 2013: USD0.02 cents)
• Capital Expenditure of USD7.3 million (Q1 2013: USD1.3 million)
• Cash and cash equivalents at the end of Q1 2014 of USD13.7 million (Q12013: USD1.4 million)
• Oil and gas revenue from continuing operations of USD6.8 million – a decrease of 35% on the comparative period (Q1 2013: USD10.5 million) primarily due to trucking issues related to weather and issues with downhole pumps (now largely resolved)

Tethys is focused on oil and gas exploration and production activities in Central Asia and the Caspian Region. This highly prolific oil and gas area is rapidly developing and Tethys believes that significant potential exists in both exploration and in discovered deposits.